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Tuesday, 14 June 2016

Minister of State for Petroleum Resources, Ibe Kachikwu, has clarified that President Muhammadu Buhari has not allocated oil blocs to any individual since he came into office.

The Minister made the clarification on Monday in Uyo at the South-South region Town Hall Meeting organised by the Ministry of Information and Culture.

The Minister who was responding to questions by some aggrieved participants from the region over alleged un-equitable distribution of oil blocs, said that the Federal Government would be fair and just in giving out such advantages.

“Since we came into office, the government has not allocated any oil bloc.

“The President has said that he will need to correct the mess created by the past administrations before we begin to think of giving out such advantages.

“The President has emphasised to us, the ministers that there should be no unjustifiable favour and any action we take we must be able to defend it.

“When the time for the oil bloc allocation comes, it will follow very clear due process,’’ he said.

Kachikwu stressed that he was one of those who believed that the South-South people should benefit from oil blocs because it would be part of “giving back to the chicken that laid the eggs.’’

He said it would go a long way to empower the people and make them to engage in genuine oil deals, rather than being contractors to oil companies.

The minister, however, reiterated that when government wants to consider the allocation, it would be given to those who have skills and the finance to develop the blocs.

Kachikwu said that the Federal Government had finalised the Integrated Power Project with Mobil Oil Company that would produce 500 megawatts of power as well as gas pipeline project in Akwa Ibom.

He said the total investment for the project, including provision of infrastructure in the area of locations, was seven billion dollar.

The minister promised that the Federal Government would locate oil depots and modular refineries in the state through private capital intervention.

In addressing the challenges of militancy in the region, Kachikwu said he had reached out to the Niger Delta Avengers for a truce with the Federal Government to end destruction to oil installations.

He said the activity of the militants blowing up oil installations was affecting the economy and government would use all means possible to end it.